Mumbai: Benchmark Sensex rose by 323 points while Nifty closed higher for the sixth consecutive day Wednesday amid renewed optimism over a successful conclusion in India-US trade talks.
The 30-share BSE Sensex climbed 323.83 points or 0.40 per cent to settle at 81,425.15, registering its third straight day of gain. During the day, it jumped 542.56 points or 0.66 per cent to 81,643.88.
The 50-share NSE Nifty rallied 104.50 points or 0.42 per cent to 24,973.10. A rally in IT and capital goods shares and hopes that the US Federal Reserve will cut interest rates next week also instilled optimism in the markets.
Among Sensex firms, Bharat Electronics, HCL Tech, Bajaj Finance, Axis Bank, Tata Consultancy Services, Tech Mahindra, Infosys and State Bank of India were among the major gainers.
However, Mahindra & Mahindra, Maruti, Tata Motors and UltraTech Cement were among the laggards.
Signalling a thaw in the bilateral chill between India and the US, President Donald Trump has said he feels “certain” that there will be “no difficulty” for the two countries to come to a “successful conclusion” in trade talks and he looks forward to speaking with his “very good friend” Prime Minister Narendra Modi in the coming weeks.
In a post on Truth Social Tuesday, the US president said he was “pleased to announce that India, and the United States of America, are continuing negotiations to address the Trade Barriers between our two Nations.”
“I look forward to speaking with my very good friend, Prime Minister Modi, in the upcoming weeks. I feel certain that there will be no difficulty in coming to a successful conclusion for both of our Great Countries!” he said.
Responding to the post, Prime Minister Modi in a post on X Wednesday expressed confidence that the ongoing negotiations will pave the way for unlocking the limitless potential of the partnership between them.
Vinod Nair, Head of Research, Geojit Investments Limited, said, “Renewed optimism around ongoing trade negotiations between India and the US lifted market sentiment. Anticipation of stronger H2 FY26 earnings, driven by GST rationalisation and the benefits of monetary easing, is providing resilience to valuations.”
He further said that the IT index extended its outperformance on hopes of a potential Fed rate cut next week and a revival in technology spending.
“Investors remain focused on the progress of India-US trade talks for signals of a constructive resolution to tariff-related issues,” he said.
In Asian markets, South Korea’s Kospi, Japan’s Nikkei 225 index, Shanghai’s SSE Composite index and Hong Kong’s Hang Seng settled in positive territory.
Markets in Europe were trading higher. US markets ended higher Tuesday.
Foreign Institutional Investors (FIIs) tuned buyers Tuesday after days of offloading equities. They bought stocks worth Rs 2,050.46 crore, according to exchange data.
Global oil benchmark Brent crude climbed 0.65 per cent to USD 66.82 a barrel.
On Tuesday, the Sensex climbed 314.02 points or 0.39 per cent to settle at 81,101.32. The Nifty rallied 95.45 points or 0.39 per cent to 24,868.60, registering its fifth day of gain.
PTI
